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“Who should get more support from the state and who less?” is a classic conundrum generations of public policy scholars have contemplated. Nepal government’s Covid-19 emergency response in the form of relief and stimulus packages has been channelled through different state entities, adding another layer of confusion at the recipients’ side. The Nepal Rastra Bank (NRB) has allotted NPR 200 billion in refinancing facility for this fiscal. Most of the allotted resources is to be distributed as per the recommendations of commercial banks and less on case-by-case basis. Only 10 percent of the total allocation is being distributed through microfinances as refinance facility. This makes us question the policy choices about the utilization of financial resources in the pandemic that has hit the poor people the hardest.

Most financial resources that were supposed to be distributed through microfinances are for micro and small enterprises (MSEs). These enterprises are at the bottom of the country’s business pyramid and they need support in these tough times. All the losses of the micro and small industry are directly slapped on low-income people who are without other financial cushions. As it is, the NRB has allocated 70 percent of the total refinancing amount to be distributed as per loan requests through commercial banks and another 20 percent on a case-by-case basis.

There are significantly more Nepali borrowers reliant on microfinances rather than on commercial banks for loans. If we look at the nature of the loans, most loans from microfinances are for subsistence whereas loans from commercial banks are for various higher-end purposes. Businesses running with loans from commercial banks certainly contribute more to the GDP. But should the NRB prioritize high-revenue businesses when millions of lives at the bottom of the economic ladder have been devastated? Take for instance the case of the struggling dairy industry. Around 500,000 households are engaged in the sector, investing around Rs 25 billion.

Micro and small enterprises play a critical role in creating job opportunities and are considered an effective vehicle for economic empowerment at the grassroots level. But government efforts are not focused on advancing the micro and small industry. But more support to this industry could save thousands of micro and small enterprises across the sub-sectors, particularly in agriculture. The sector alone employs around 70 percent of the country’s folks, and most of their jobs are linked to micro and small enterprises one way or the other.

Globally, the role of MSEs in the economy is increasing and they now represent about 90 percent of businesses and more than 50 percent of all employment. The importance of MSEs is much higher in developing countries like Nepal where one major hurdle they face is access to finance. Against this backdrop, the government decision to allocate only minimal amounts in their support in this crisis suggests the insensitivity of policymakers to the poorest and most vulnerable sections of the society.

This is just an example of how policies hurt poor people, those who do not have resources or capacity to lobby. Presumably, the central bank works more in favour of commercial banks as they are easier to control and bargain with. But it must revisit its modus operandi and listen to voices and concerns of small businesses and microfinances as well. Or it will be forfeiting its obligation to the poorest sections of the society towards which it should be the most responsible.

Today a friend posted photos of a troop of monkeys—Do you call them that? Google search and yes, a troop or a tribe!—anyway a friend posted photos of a large troop of monkeys (maybe 7 or 8 of them) climbing around her neighborhood houses. The day before another friend posted pictures of perhaps the same troop of monkeys climbing around her compound. Both in Lazimpat. About 17 years ago I lived in Lazimpat also and yes monkeys were frequent visitors. I could also hear jackals barking. Another Google search… I could hear jackals ‘howling’. At that time I think the Indian Embassy trees stretched pretty much to Raniban. With urbanization I doubt you will hear jackals today. On the other hand, maybe there are jackals but unless you are familiar with the sound they make, they can sound very much like a group of young people having a bit of a drunken party! 

Back to the monkeys. While one or two are not unusual to spot at the back of Lazimpat, a troop of seven, eight or nine must surely be extraordinary. Can it be a coincidence that the temples have newly opened for pilgrims after nine long months? Maybe with humans coming back into ‘monkey territory’ the monkeys have decided to reciprocate by moving into more urban settings? It can’t be that they are hungry. Can it? Primatologist please respond. (Yes, I Googled that too) Or maybe they are also simply suffering from Covid-fatigue and searching something new.

We have seen photographs of wildlife reclaiming rivers, forests and even city centers during lockdowns around the world. I have personally have had several visits from a squirrel and a not so lovely visit from a rat! Whereas both were thieves, the squirrel was entertaining. Climbing up on several mornings and inching a bright pink small towel used for cleaning my solar panel ever closer to the edge of the balcony. We played a bit of a game… me, replacing the towel to its place, she pulling it out again. I say she as I am convinced the towel was heading to be part of a squirrel nest. I was sure that no way a tiny squirrel was going to be able to drag something equal to its body weight over the plants and carry it down the wall. But it did! I now am a bit more aware when hanging lightweight clothing out to dry on the veranda.

The other, not so cute or entertaining thief was an average sized rat! Why just take one bite out of something and leave it to move on to the next? I’m sad to say, after a few attempts of catching him humanly it came down to him or me. I won.

I should also mention here that since the beginning of lockdown I formed a daily habit, which I am still doing, of taking my early morning drink on the veranda. Along with my breakfast muesli. It became a daily event that one, always just one, and there were several of them (yes, eventually I came to recognize the differences) in rotation came for breakfast. Crows I am talking about. Always one crow for his/ her muesli. It became quite a thing… still is quite a thing. 

I learned during the earthquake time that crows are very intelligent and so I am happy to observe them close up. Those incredibly noisy flashy green parrots that live, it would appear, in the ventilation pipes of the building next door, never drop by. Yes, maybe those bright, young things are too full of themselves to visit. Leaving it to the drab ‘old’ crows! The only thing I was worried about was with a daily crow sitting and eating on my balcony about six inches from me, the neighbors might think I am a witch. Or a bit of an ‘old crow’ myself!  

Nepal must seek to feed India and Bangladesh, rather than merely fuel them (through electricity supply). A new, committed emphasis in Nepal’s agriculture has the potential to absorb the projected surge in electricity generation and create broad-based economic growth.

In a 2019 Asian Development Bank (ADB) publication—“Dysfunctional Horticulture Value Chains and the Need for Modern Marketing Infrastructure: The Case of Nepal”—Siddiq and Basher estimated that reducing Nepal’s post-harvest losses of fruits and vegetables by around 75 percent would yield annual savings of approximately $675 million. It will take approximately 3,000 MW of hydro power export to produce comparable annual earnings.

Around 80 percent of the country’s population lives in rural areas and is agriculture-dependent. This means that enhanced agricultural incomes from reductions in post-harvest losses could touch the lives of some 22 million Nepalis. Hydro-export based earnings, on the other hand, would touch maybe a few thousand directly employed in the industry.

Today, Nepal has just under 1,500 MW of hydropower capacity; and has an aspirational plan to add another 15,000 MW within the next decade. It has spent the past 15 years pursuing India to open its electricity markets, leading to a historic power trade agreement in September 2014. In the years since, Nepal has spent approximately $550 million in electricity imports from India and expects to export electricity worth approximately $10 million this year. Over the same time, some $4 billion of our agricultural products rotted away.

Nepal must, of course, harness its great hydro potential. Seeking opportunities for electricity exports to India and Bangladesh is, no doubt, necessary for that. But we cannot rely on the stars twinkling in distant skies alone. The great bounty of hydropower generation must also spill over to enhance our competitive position in agriculture and get our economy roaring again. 

Nepal’s agriculture is a story of great promise overwhelmed by insurmountable constraints. Governments have tried, pouring in billions of dollars into a wide range of programs. Over the years, however, the constraints have only deepened and hardened. 

Suddenly now, however, the promise of abundant electricity supply, in combination with other socio-economic factors, has opened an unprecedented opportunity to radically transform agriculture.

First, Nepal’s agriculture is ready for massive mechanization. In fruits and vegetables, for instance, where Nepal holds the greatest competitive advantage in exports, there is a need for investments in post-harvest management, storage, and distribution. These require cold-storage networks, refrigerated transport, and supply chain, not to mention the mechanization of upstream activities in agricultural methods. Unlike before, Nepal is now well-positioned for mechanization as outbound migration has reduced labor availability. Faced with acute labor shortages, Nepal’s farmlands now welcome mechanization. Investments in mechanization are only possible if there is a promise of abundant and reliable electricity supply. 

Second, digital technologies offer opportunities to aggregate and scale Nepal’s agricultural production in ways not possible before. Distributed small farm holdings, each producing a little, was a core challenge. Digital technologies can help overcome that challenge, aggregating production by eliminating information asymmetry, connecting buyers and sellers, relaying information, and facilitating trade. Advances and access to digital technologies like blockchains, information platforms, data and analytics now make it possible to be as competitive with one apple tree as with a thousand. Such digitization can only be enabled if there is an underlying belief in our agricultural prospects, and a promise of abundant and reliable electricity supply. 

Third, for a country with such abundant water resources, Nepal’s agriculture is hopelessly parched, dependent almost entirely on rain. Every inch of Nepal’s agricultural land could be irrigated to enhance the predictability and competitiveness of our production. There is enough water to get around, and now abundant and reliable electricity to push water to the fields where it is needed.

To embark on this vision, the government must overhaul its approach to agriculture. One way perhaps may be to focus primarily in establishing agricultural standards and testing so that aggregation, management, transport, commerce, and export are enabled, while letting the private sector take the lead in establishing supply chains, digitization, aggregation and market creation.

But if I were the agriculture minister, an easier place to start may be to call the Minister of Energy, Water Resources, and Irrigation, and say, “Hello Comrade, how much electricity can you produce? I’ll buy it all.”

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Guru Nanak Jayanti this past week was an occasion to remember the great Indian master, Guru Nanak Dev Ji, and his teachings. Born in Nankana Shahib near Lahore (now in Pakistan) in 1469, this householder monk was deeply troubled by the Hindu-Muslim tussle about their ideas of God. Like all great masters, he displayed exceptional traits right from his childhood, and showed clear signs that he would pursue the path of God.

When he was 11, he refused to put on the sacred thread, which all Hindu boys were supposed to wear. He said it was not necessary to know God. He often sat in meditative trance. Once on a hot summer day when he was lying under a tree in a trance, a cobra stood over his face flaring its hood, protecting the boy from sunlight. The onlooking villagers were amazed when the snake moved as the sun moved.

At 30, Nanak disappeared under the depths of a river and emerged three days later, enlightened. His utterances, starting with “There is but One God, His name is Truth,” marked the beginning of a new spiritual movement. Followers of the movement were to be known as Sikhs (Sanskrit śiṣya, meaning a disciple or learner who is open to śikṣā, learning). His words formed the content of Adi Granth, the first Sikh scripture. This new movement would have universal brotherhood, altruism, overcoming five vices (lust, anger, greed, attachment, pride), and one-pointed focus on a formless single God as its hallmarks.

Once Nanak’s father gave him some money for business. On his way to another town, Nanak saw some mendicant saints and spent all his money to feed them. On returning home, young Nanak got reprimand by the angry father for failing to do business and wasting money. “Why do business?” Nanak asked. “To earn profit,” father replied. Nanak smiled, and said: “Well, father, then I did brilliant business. I earned the divine profit, which nobody can ever measure!”

In another story, Nanak gave a needle—an ordinary one—to a disciple and told him to keep it for him for some time. When the disciple's wife knew it, she became worried that the husband would be forever indebted if the aging master died before taking the needle back. So the husband ran after him and handed him the needle, saying: "If you die, I can't take it to heaven to return to you." Feigning surprise, Nanak asked: "Why? Can't you take even a tiny little needle with you after death?" "No," the disciple answered. Nanak asked again: "Then why do you keep so much money with you?" The disciple had an instant realization. He was freed from greed.

Guru Nanak dismissed all forms of dogmas and rituals. He rejected fasting, killing, and caste discrimination. He gave women equal social status as men. Following the teachings of Nanak and his nine succeeding teachers, a Sikh would seek the One God (Ek Onkar), and engage in three virtuous acts: Naam Japo (keeping God in mind all the time), Kirat Karo (acting righteously and earning honestly), and Vand Chhako (giving in charity). Perhaps you would not like to miss the soothing Keertan (singing) of Shabad—the lines from the Guru Granth Shahib—or the delicious food of Langar, the Gurudwara kitchen where people from all castes, creed, and faiths are fed with equal respect.

Nanak learned from both Hindu and Muslim traditions. For his impartial love and service, everyone loved him. He was a great dispeller of disputes. When he died, his Muslim and Hindu followers wanted to do the death ritual in their own ways. But when they removed the cloth covering the saint's dead body, they found only a heap of flowers.